NAIROBI, Kenya, July 2 – Kenya has emerged as the leading destination for international development aid in East Africa, according to a new report by PwC, underscoring its strategic importance amid shifting global priorities and tighter funding conditions.
The International Development Sector Landscape Survey Kenya Report, launched this week, shows that 94 percent of funding agencies, 100 percent of development finance institutions, and 97 percent of implementing organizations in the region prioritize Kenya as a key focus country.
The findings reflect Kenya’s enduring appeal due to its strong governance systems, strategic geographic location, and well-established development infrastructure—even as global aid flows face mounting pressure from geopolitical uncertainty and economic slowdowns.
“Kenya remains the leading focus country in the region for nearly all international development funding agencies and implementing organizations,” the report notes.
There is a growing emphasis on peace, security, humanitarian response, and governance—signaling a broader shift toward resilience-building alongside traditional sectors like health, agriculture, and climate change, which continue to attract significant funding.
The report also notes a marked pivot toward underserved rural and arid regions, as agencies seek to broaden the impact of their programs.
However, development partners are contending with reduced donor commitments, particularly from major players such as USAID and UKaid. In response, many organizations are restructuring operations and diversifying funding streams to remain sustainable.
PwC also highlights a growing call for localization, with 94 percent of implementing organizations advocating for more flexible, unrestricted, and locally led funding models.
